A bond is a debt certificate issued to investors when a country or company raises funds from the society; to put it bluntly, it is an IOU. For example, a company borrows money from you and gives you a bond. When you get the bond, you give the money to

After a period of time, the company will return the money you borrowed and pay you interest.

Get the bond back at the same time.

Of course, the interest on borrowing money is agreed in advance using the interest rate. For example, if the interest rate is 2.33%, if you buy a bond worth 10,000 yuan, the company will give you 233 yuan in interest every year.

A bond is a marketable security.

Because the interest on a bond is usually determined in advance, a bond is a type of fixed-interest security (fixed-rate security).

In countries and regions with developed financial markets, bonds can be listed and circulated.

In China, the more typical government bonds are treasury bills.

The difference between stocks and bonds: 1. Different issuing entities. Although stocks and securities are means of raising funds, the issuer of bonds can be the state, local public institutions or enterprises; but the issuer of stocks can only be a joint-stock company.

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?2. Different returns? Investors in the stock market all know that stocks are high-yield and high-risk investment projects. The dividend yield of stocks before purchase is uncertain, and dividend income also changes with the profitability of listed companies.

In contrast, before purchasing a corporate bond, the interest rate is fixed and the fixed interest can be earned at maturity.

?3. Different economic relationships? Because the returns of stocks and bonds are different, the economic relationships in the market are also different.

Bonds represent a credit of the company, and stocks represent investors' ownership of the company. Stock holders have the authority to directly or indirectly participate in the company's business management, but bond holders do not have such authority.